Troy McClure
Registered User
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- 300
I was reading in a sunday paper yesterday about investing in government bonds. It suggested that those who bought Irish gov bonds at the begining of the year are 6% down on their capital, if they were to sell today, because the yields have widened. I am guessing they may be 10 year bonds. That makes sence I guess.
Irrespective of what country you buy bonds in I never considered the loss of the investment capital when it came to gov bonds. I am considering putting a certain amount of money into German gov bunds. There is a department of the german government that deals with this. They explained, where you put your money into a non defined term bond which can be bought and sold anytime (never heard of this before), that your capital is safe with the rate flucuating. The rate is pitiful but I accept that as it's not my motive.
If I held german bonds is it possible my capital investment be worth less if I sell in a years time?
Irrespective of what country you buy bonds in I never considered the loss of the investment capital when it came to gov bonds. I am considering putting a certain amount of money into German gov bunds. There is a department of the german government that deals with this. They explained, where you put your money into a non defined term bond which can be bought and sold anytime (never heard of this before), that your capital is safe with the rate flucuating. The rate is pitiful but I accept that as it's not my motive.
If I held german bonds is it possible my capital investment be worth less if I sell in a years time?